Brand Ii Assignment

Assignment on Brand Research

Submitted to: Prof: Shailedra Singh Bisht Faculty, IBS Hyderabad

Submitted By: GROUP G A K Kashyap Arti Kriplani Cosma Indica DevDatta Chatterjee Naveen Chawla Rohan Sinha

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CONTENTS VISION STATEMENT ........................................................................................................................ 3 OBJECTIVES OF THE COMPANY ................................................................................................... 3 INDUSTRY ANALYSIS........................................................................................................................ 3 Overview ............................................................................................................................................ 3 Profile ................................................................................................................................................. 3 Categories .......................................................................................................................................... 3 Herbal drug industry.......................................................................................................................... 4 Growth Drivers ................................................................................................................................... 4 SWOT Analysis .................................................................................................................................. 4 COMPETITORS ................................................................................................................................... 6 Major Players in the Industry............................................................................................................. 6 Brand Positions .................................................................................................................................. 6 STRATEGIES ....................................................................................................................................... 8 BRAND ELEMENTS ........................................................................................................................... 8 Brand Name ....................................................................................................................................... 8 Logo ................................................................................................................................................... 9 Slogan ................................................................................................................................................. 9 URL: ................................................................................................................................................... 9 TARGET CUSTOMER SEGMENTATION ....................................................................................... 9 Based on the Customer Profile .........................................................................................................10 Based on Income Group ...................................................................................................................10 CUSTOMER INSIGHT ....................................................................................................................... 11 BRAND CONCEPT ............................................................................................................................ 11 BRAND POSITIONING .....................................................................................................................12

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NAME OF THE COMPANY: L’CARE VISION STATEMENT To be a part of our customers life by exploring the remedies to the malfunctions and provide our customers the purity and freshness of nature for curing them and thereby help them to lead an easy life by providing cure to your problems in a natural way.

OBJECTIVES OF THE COMPANY • • • •

Explore and provide the best possible natural remedies to the diseases. And be the leading company in herbal industry for lifestyle diseases Increase the market share of the company in this product line Launch new products which help improve the lifestyle To increase the customer satisfaction through good service and innovative products.

INDUSTRY ANALYSIS Overview India has one of the fastest growing pharmaceutical markts in the world. In 2007-08, this market was valued at over US$ 7 Billion. Driven by a huge patient base, increasing incomes, improving healthcare infrastructure and strong penetration of health insurance, the pharmaceutical market is expected to grow more than double its size in the next five years. Drugs for acute diseases presently dominate this market; however, the increasing penetration of lifestyle-related diseases is expected to fuel the growth of drugs targeting chronic diseases. Profile The Indian pharmaceutical market at present is highly fragmented, with the top three companies having a market share of around 5% each. However, introduction of the product patent regime is likely to result in heavy consolidation in future.

Categories At present, drugs for mass therapies dominate, however, driven by an increasing prevalence of lifestyle-associated diseases, drugs for specialty therapies are expected to remain buoyant in future. Patented drugs, which had no share in the pharmaceutical market, are expected to have a 10% market share in 2010.

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Herbal drug industry Herbal products have a special place in the world of pharmaceuticals. In the last two decades there has been an exponential growth in the field of herbal medicine. Usage of herbs as ayurvadic medicine is not new to our culture as it has been there since ancient times when vaidyas used to treat patients on individual basis, and prepare drugs according to individual requirement of the patient. Side effects of conventional medicine, efficiency of plant-derived drugs and growing interest in natural products has increased scientific interest in medicinal plants. A look at the research and investments that are going into medicinal plants looks like, they will continue to play an important role in human health. They are used in preventive and curative treatments throughout the world. Though there is anecdotal evidence supporting the use of herbal medicines, scientific studies in this field is in its infancy.

Growth Drivers • •

Around 67 Million Indians are expected to be above 67 years of age by 2011. This age group spends around 3 to 4 times more on drugs than those in younger age groups. The changing lifestyles of the people will fuel the growth of lifestyle related diseases.

SWOT Analysis

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COMPETITORS Major Players in the Industry

Brand Positions Majority of the herbal drug players' potions themselves as the best providers of quality natural products. Thereby we find that main, positioning attribute found in this industry is • •

Naturalness (Quality) Benefit received on the consumption of the drug.

The following are the brands and the brand positioning statements of 4 leading brands of Indian herbal drug industry. Brand Management

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S.NO 1 2 3 4

COMPANY NAME Himalaya Herbal Healthcare Dabur India Ltd Emami Group of Companies Cholayil Pharma Pvt Ltd

BRAND/S Himalaya Dabur Emami/Himani Medimix

*Source: From the websites of the respective companies Himalaya herbal healthcare Position: purity of nature (quality of product) and promise of good health (benefit) Explanation: leaf that forms the crossbar of the letter evokes focus on herbal healthcare. The teal green of logo represents proximity to nature, while orange is evocative of warmth, vibrancy of commitment to caring. The logo is accompanied by high quality that has always been the himalaya hallmark, which carries with it the promise of good health and well-being. Dabur india ltd Position : protection (benefit), & traditional and trust worth (culture & lifestyle) Explanation: the tree, a symbol of nature, is indelibly regarded as a provider of shelter, food and protection. On a metaphysical plane, the tree is regarded as sacred, trustworthy and a symbol of fertility. The new dabur identity retains these enduring and valuable attributes, while it adds a fresh, healthy and holistic dimension to the tree. Emami group of companies Position: beauty care explanation: emami, is a name synonymous with beauty care

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(benefit)

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Cholayil Pharmaceuticals pvt ltd Position: ayurvedic beauty & healthcare ( benefit ) Promotional activities of the brands Brand name Means of activities Himalaya healthcare 1.mass appeal media: televisions main sub brand: ayurvedic concepts 2.other sources Magazines: pharmapulse and pharmabix Dabur Healthcare segment: Mass media appeal: tv and business magazines Medimix 1.mass appeal 2.huge hoardings announcing the change in position from ayurvedic healthcare to beauty care Emami/himani 1.mass appeal 2.pr in chemist retails

STRATEGIES Our main strategy would be to target customers of all age groups as our product is a unique one as it not cures but it cares too. Even a young adult can consume it daily to remain fit and so can an aged person use it to get cured of ailments. It will be cost effective and used in plastic containers so that there is ease in its usage since it is like a daily usage product. The ingredients used will be 100% herbal in nature and the raw material for the product would be collected from France for cost effectiveness. Since we are entering the market for the first time we will be confined to the domestic market at present but eventually with the success of the brand we would be going international. Our products will be placed in medicine shops as well as retail outlets.

BRAND ELEMENTS Brand Name As the first public act of branding, the brand name has a unique role. Ultimately, it is the one element of the brand that will endure throughout its lifecycle. Whilst the variables of packaging, promotions and positioning are all subject to change, the brand name will remain constant and therefore frequently acts as the focus for the brand. Brand Management

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Hence our brand name is L’care The chosen Brand name fits into our schemes on following counts: 1. Meaning: The word ‘L’ stands for Drugs related to Lifestyle diseases, so it conveys what it is meant for. Care stands for cure and gives a feeling that the drug is related to prevention rather than cure. 2. Memorability: In terms of the pharmaceutical industry, the “customer” had been defined predominantly in terms of the prescriber. However, today’s patients/end-users are more enfranchised and empowered than ever before, which has created a paradigm shift in the concept of brand development. The need to engage with the end-user we need to speak the patient’s language as much as the prescriber’s language. So the Simple brand name “L’care” is easy to remember, simple to pronounce and hence fulfills our purpose. 3. Transferability: The brand name’s equity can be easily used by other products of the same brand by using the word “care” with different products. For example: a drug for diabetes can be named “Dia’care”. In the similar fashion a drug for Hypertension can be named “Pre’care” Pre for high blood pressure and a drug for easing stress or anti depressant can be named “Stre’care” Stre standing for stress. 4. Likability: the name includes the word care which adds to its likability.

Logo The logo is simple and the name used in the logo ensures memorability and awareness of the end user i.e. the patients. The logo also encloses the tagline “live life your way”. The logo includes a smiley which conveys the message that the drug will ensure a better lifestyle. A lifestyle where one can enjoy things without being bothered about health troubles.

Slogan “Live life your way” Slogan again reinforces the same message and in line with our brand positioning. It is persuasive and summarizes the intent of the marketing program.

URL: We have chosen a simple URL, which is easy to remember and is protectable. http://www.lcareindia.com

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TARGET CUSTOMER SEGMENTATION The herbal drug industry in India and at the international level mainly targets the population of all the ages and profiles. The branded drug industry being at the central part of consumer's interest concentrates more on the new generation ailments and brings about customized dosage forms. There are various ways of segmenting the customers of herbal drugs. Following are the segmentations:

Based on the Customer Profile Patients: Patients are those who have already ailed with a disease and want to get relief from it. Precautionary Customers: These are the people who use the drugs so as to keep them immune from the lifestyle diseases like hyper tension, asthma, diabetes and obesity. Precautionary Customers can further be classified as: High Risk Precautionary Customers: Those customers who are at higher risk of getting infected with the diseases because of their family history. For example, diseases like diabetes, asthma, etc are hereditary in nature where there is a high probability of the next generation to get infected with same disease from his/her immediate predecessors. Medium Risk Precautionary Customers: These are the customers who have habits/ lifestyle pattern that can lead them to get infected by the diseases like stress, indigestion, diabetes, hair-loss, insomnia and asthma, etc. These customers don’t have any family history related to the disease but are prone to get infected due to their work-life imbalances and lifestyle habits. Low Risk Precautionary Customers: These are the customers who have a strong inclination to being healthy. They are willing to take herbal drugs just to keep them immune to certain lifestyle diseases.

Based on Income Group: Higher Income Level: People under higher income levels. These are the customers who are more prone to lifestyle diseases due to their stressful work life. These customers are generally not very sensitive to prices and may pay higher if they perceive the product to be beneficial for their health. Middle Income Level: it is the major chunk of the Indian population and a good prospect for herbal drugs. These days, middle class people are adopting the western culture rapidly. This has led to increase in their risks to getting infected by lifestyle diseases especially in urban areas. These people are moderately sensitive to prices but may pay a premium for a herbal product since it is perceived to safe. Low Income Level: Often called as the bottom of the pyramid. These people are recently been into the focus of many marketers around the world because of the huge market potential that this segment has. More than 60% of Indian Population comes under this segment. Though, customers into this Brand Management

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segment are less prone to lifestyle diseases but recently, there has been some lifestyle changes being noticed in this segment which may lead to increase in the number of patients in this segment also.

CUSTOMER INSIGHT Healthcare expenditure of the country was very low till few years back and the people are realizing it slowly and this is changing (Govt. spending on healthcare is approx. 4% of India’s GDP). As far as Herbal products are concerned market is very vibrant and there is always a room for the improvement. People or customers also have a positive image of the Herbal products as they perceive that there are no side effects of these products. Also in the case of the Herbal products the price sensitivity is on the moderate side and people are ready to shell out the extra money for the same. Also, there is a long history of the herbal products in our country and hence they are considered to be the traditional products by many people. Herbal products are not only used for curing lifestyle diseases but they are also used for several other purposes like a beauty products and hence there is a wide acceptance among the people. The customers of the herbal products perceive it as a safe product and also consider the products as a good value for the money. Even in abroad the market for the Herbal products is growing very rapidly and the people over there are accepting the Herbal drugs as a supplement for the allopathic drugs. India is one of the major exporters of the Herbal products in the West and there is a high potential of doing the business in this segment. There is a shift to become more natural in order to have a good healthy way of living. As a lot of people changed to exercise and a balanced diet for a healthy lifestyle, there are a lot of people who have changed to natural herbal products. The purpose is to keep away from products that contain harmful chemical toxins that can put in danger their health.

BRAND CONCEPT The brand L’care which is a shortened version of life care is concerned with drugs used for treatment of lifestyle diseases like diabetes, hyper tension, anxiety, blood pressure etc. in a rather smooth manner without much of disturbance in the regular routine or food habits of a person. It is herbal in nature and hence will not include any change in food habits or will not have any side effects on the person. The products of our brand L’care like Diaba’care, concerned with treatment as well as prevention of diabetes, Stra’care concerned with relieving of stress are all herbal in nature and hence can be used while undergoing treatment of any other major illness also.

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BRAND POSITIONING The frame of reference here is drugs for lifestyle diseases like diabetes, hyper tension etc. Our brand L’care is herbal in nature and can be used not only for treatment but also prevention of lifestyle diseases. So that is why it is important to note that it not only cures but it cares for our lives too. This is the point of difference for our brand. For example one of our products diaba’cure is basically a sweet powder which can be sprinkled on a cup of tea or coffee and can be had along with it. This not only ensures a person from becoming diabetic but also a diabetic person having it gets cured from the disease. Likewise the product stra’cure is a flavoured liquid solution which can be mixed with any juice and consumed. This energizes and revitalizes a person. This is a major point of differentiation of our brand from other brands and this is the competitive advantage which the brand enjoys and can be sustained over a period of time. The products will be available in medicine shops as well as in major retail outlets. The point of parity for our brand is that like other drugs this can also be used for curing of diseases. BRAND PROMOTIONAL MIX The total budget for promoting our brand is Rs 2 crores fill after finding the budget for planned placements. • • •

In the electronic media we will promote it through television advertisements with placements in between news and sports broadcasts. In the print media we will advertise in the leading lifestyle magazine and medical journals. But almost 60% of our total budget will go in sponsoring events like health check up campaigns, blood donation camps and any local sports events.

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